The Australian sharemarket had given up most of its early gains mid-session after positive US economic data led to initial investor optimism.
At 9.30am, the benchmark S&P/ASX200 index was up 1.7 points at 4725.5 and the broader All Ordinaries index also added 3.3 points to 4746.2.
On the ASX 24, the March share price index futures contract was down six points at 4699 with 11,675 contracts traded.
RBS Morgans private client adviser Bill Bishop said the local market was off to a good start to 2013 as low interest rates were leading Australians to invest in equities.
He said better than expected US jobs figures and a temporary solution to the US fiscal cliff problem had also boosted local stocks.
"The US fiscal cliff held us to ransom a bit last year but they've cobbled together a temporary solution 'til next time," he said.
"Markets are desperate to go up at the moment."
In the US on Friday the Dow Jones Industrial Average finish up 43.85 points, or 0.33 per cent, at 13,435.21.
In London, the benchmark FTSE 100 index of top companies added 0.7 per cent to close at 6089.84 points.
Locally, the mining giants were mixed mid-session.
BHP Billiton fell 16 cents to $37.75 and Rio Tinto dived 63 cents to $67.92, but Fortescue gained 10 cents to $4.96.
The four major banks were also mixed.
ANZ added six cents to $25.32, National Australia Bank was up seven cents to $25.38 and Westpac jumped 14 cents to $26.39.
However, Commonwealth Bank plummeted 24 cents to $63.01.National turnover was 532.6 million shares worth $957.4 million, with 428 stocks up, 288 down and 335 unchanged.
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